Pakistan and EU Ink €20 Million Agreement for Enhanced Governance and Business Climate

On Thursday, Pakistan and the European Union (EU) formalized a grant agreement amounting to €20 million. This agreement marks the initiation of the “Better Governance and Business Environment” endeavor, designed to bolster governance structures and elevate the competitive edge of the private sector, with a specific focus on small and medium enterprises (SMEs).

The accord was officially endorsed by EU Ambassador Dr. Riina Kionka and Dr. Kazim Niaz, Secretary of the Economic Affairs Division. This program is an integral component of the EU’s Multiannual Indicative Programme spanning from 2021 to 2027.

According to authorities, the project will offer backing for legislation concerning SMEs, foster the adoption of eco-friendly practices among export-oriented companies, and stimulate focused investments that are in harmony with the EU’s Global Gateway strategy, the GSP+ framework, and the EU Green Deal.

Dr. Niaz conveyed gratitude to the EU for their sustained assistance, highlighting the program as a well-timed step that aligns with the government’s “Uraan Pakistan” strategy, which aims to bring about institutional changes and encourage responsible expansion of the private sector.

Ambassador Kionka stated that the EU remains dedicated to assisting Pakistan in its pursuit of a more inclusive and sustainable economy through investments in environmentally friendly innovations, businesses led by women, and collaborations between the public and private sectors.

The EU’s collaborative efforts with Pakistan in the realm of development will maintain its emphasis on climate change resilience, safeguarding human rights, promoting effective governance, and fostering sustainable economic advancement.